The Indian market closed higher today. Sensex rises 246 points to 54,767 and Nifty closes 49 points higher at 16,328. Benchmark indices ended higher for the second consecutive session on Monday led by buying in IT, oil and gas and banking shares amid positive global cues. Sensex rallied 760.37 points to settle at 54,521 and Nifty advanced 229.30 points to 16,278.50.
Here's a look at live market updates today.
3:37 pm: Market update
Sensex rises 246 points to 54,767 and Nifty closes 49 points higher at 16,328 .
2:52 pm: Market update
Sensex rises 210 points to 54,731 and Nifty gains 57 points to 16,335 in the afternoon session.
2:38 pm: Experts' take on rupee at 80
Manoj Dalmia, founder and director, Proficient Equities
"Indian rupee on Tuesday breached the psychologically significant level of 80 against the US dollar for the first time. The local currency opened the day at 79.98 per US dollar against the previous close of 79.97. Then, it immediately hit a record low of 80.0175 in early trade. The rising trade deficit, continuous outflow of foreign portfolio investors and rising crude oil prices have kept the rupee under pressure for some time now. Rupee depreciation has impacted the current account deficit and fuelled inflationary pressures but according to experts, at the same time, it has made Indian exports more competitive."
Ravi Singh, vice President and head of Research, Share India
"India's macro economic stability makes it an attractive destination for foreign investments. To maintain the current substantial level of foreign inflows, the country requires a stable rupee. However, a depreciating rupee is favourable for domestic exporters but for India, the export dependency is not that high as they do long-term hedging at the time of booking of orders. In the present globalised environment, majority of costs like raw material, shipping charges, warehousing and other related services are denominated in foreign currency or at import parity price. Also, if currency is weak, then there would be surge in demand and increased spending will lead to inflation. Hence, a stable range-bound currency is required both for stability and certainty for quoting prices and accepting orders in today’s competitive global environment. A long-term sustainable growth of India’s international trade needs to be strong for the overall economic growth."
Mohit Nigam, Head - PMS, Hem Securities
"The Indian rupee has hit life-time low of 80 against the greenback taking the total plunge to 7% year-to-date. There are several factors at play such as rising crude oil prices due to tight supply conditions, major central bank meeting scheduled for this week (European Central Bank) and next week as well (US Fed), continuous FII selling, widening current account deficit, and rising dollar index. India's overall exports in June 2022 stood at $64.91 bn, exhibiting a positive growth of 22.95% on a yearly basis.
This was negated by a 55.7% YoY rise in overall imports led by a 99.5% surge in petroleum and crude products which has weighed down on the trade deficit resulting in added pressure on the domestic currency. The dollar index has risen 13% this year with major global currencies such as yen, sterling pound, and euro falling much more than the rupee.
Foreign investors have pulled out $30 bn so far this year. The RBI has attentively and continually monitoring the liquidity conditions in the foreign exchange market and has intervened as needed in all of its segments to ease dollar tightness.
The ECB, which will meet on Thursday is set to hike their interest rates for the first time in 11 years. The US central bank is scheduled to meet on 26-27th July and investors will be awaiting to witness the pace of rate hike to tame the four-decadal high inflation. As India imports majority of its oil requirements, there will be pressure on the trade account and thus will weaken rupee further."
2:19 pm: Expert take
Nitin Raheja, Executive Director, Head – Discretionary Equities, Julius Baer India
"The Indian markets have after their sharp correction in the early part of the year, got into a time/price correction mode over the last few months. While the index seems to reflect a bull market correction, single stocks have corrected far more steeply reflecting a correction more like one seen in bear markets. The overall market depth has been extremely narrow, resulting in a phase where index investing has been a more profitable trade.
Going ahead, however, we believe volatility should settle down as the momentum and quantum of rate hikes become known events. Further commodity prices have also shown signs of easing off late making us believe we are over peak inflation. The resilience of the Indian economy and absence of any fresh negatives should result in a better performance of the markets in the second half of the year."
Mohit Nigam, Head - PMS, Hem Securities
"The Indian rupee has hit life-time low of 80 against the greenback taking the total plunge to 7% year-to-date. There are several factors at play such as rising crude oil prices due to tight supply conditions, major central bank meeting scheduled for this week (European Central Bank) and next week as well (US Fed), continuous FII selling, widening current account deficit, and rising dollar index. India's overall exports in June 2022 stood at $64.91 bn, exhibiting a positive growth of 22.95% on a yearly basis.
This was negated by a 55.7% YoY rise in overall imports led by a 99.5% surge in petroleum and crude products which has weighed down on the trade deficit resulting in added pressure on the domestic currency. The dollar index has risen 13% this year with major global currencies such as yen, sterling pound, and euro falling much more than the rupee.
Foreign investors have pulled out $30 bn so far this year. The RBI has attentively and continually monitoring the liquidity conditions in the foreign exchange market and has intervened as needed in all of its segments to ease dollar tightness.
The ECB, which will meet on Thursday is set to hike their interest rates for the first time in 11 years. The US central bank is scheduled to meet on 26-27th July and investors will be awaiting to witness the pace of rate hike to tame the four-decadal high inflation. As India imports majority of its oil requirements, there will be pressure on the trade account and thus will weaken rupee further."
12:58 pm: Expert take on Rupee fall
Gaurang Somaiya, Forex & Bullion Analyst, Motilal Oswal Financial Services
"Rupee fell as broader strengthen in the dollar continued ahead of the important FOMC policy statement that will be released next week. Expectation is that the Fed could raise rates by another 75 bps and maintain a hawkish stance. On the domestic front, trade deficit continued to widen and that also is weighing on the rupee. We expect the USDINR (Spot) to trade with a positive bias and quote in the range of Rs 79.70 and Rs 80.20.”
12:26 pm: Rupee@80: Expert take
Nish Bhatt, Founder & CEO, Millwood Kane International - an Investment consulting firm
"The rupee has been depreciating against the USD for a whole host of factors. Concerns around an economic slowdown in the US, Fed hiking rates, geopolitical tension between Russia-Ukraine, and a spike in oil prices have pushed INR to an all-time low. The US Fed hiking rates aggressively led to the dollar strengthening, and subsequently, FPIs pulled out funds from the Indian equity markets. FPIs have pulled out a record Rs 2.25 lakh crore from the Indian market in 2022 (YTD).
The INR depreciation is on expected lines, though it has depreciated nearly 25% since 2014 the fall has been moderate if compared to other Asian currencies. A dollar strengthening leads to a weakening of other currencies as witnessed in 2020 and 2013. In fact, some of the major currencies like GBP, Euro, and Yen have depreciated more than the INR."
12:00 pm: Adani Wilmar stock falls 3% after firm cuts prices of cooking oil
Shares of Adani Wilmar fell over 3 per cent today after India's largest edible oil producer slashed the maximum retail price of cooking oil prices by up to Rs 30 per litre amid a fall in global prices.
Adani Wilmar stock fell up to 3.42 per cent to Rs 602 against the close of Rs 623.30 in the previous session. Adani Wilmar shares trade higher than the 20-day, 100-day and 200-day moving averages but lower than 5-day and 50-day moving averages.
A total of 0.45 lakh shares of the firm changed hands amounting to a turnover of Rs 2.72 crore on BSE. The market cap of the firm fell to Rs 79,371 crore on BSE.
11:30 am: Market update
Sensex trading 78 points higher at 54,599 and Nifty rises 11 points to 16,291.
Stocks in news: IndusInd Bank, HUL , Jet Airways, Reliance Industries and more
11:20 am: Morgan Stanley slashes India's GDP forecast to 7.2% for 2022
Morgan Stanley cut its forecast for India's annual growth to 7.2% for this year, as tighter financial conditions and a slowdown in global trade have pressured major economies around the world. The brokerage's forecast, down from its previous projection of 7.6%, comes after India's economic growth slowed to the lowest in a year in the first three months of 2022 at 4.1%. The revised target is in line the Reserve Bank of India's view.
11:00 am: Vedanta shares down 45% in three months: Good time to buy?
Shares of Vedanta have tumbled 45 per cent from their 52-week high amid highly volatile domestic market affected by negative global cues. A fall in global metal prices and rising inflation has also impacted sentiment around metal stocks, including Vedanta.
The stock of Anil Agarwal-led firm, which hit a 52-week high of Rs 440.75 on April 11, 2022 is currently trading at Rs 239.05, translating into a decline of 45 per cent in over three months.
On April 28 this year, Vedanta's net profit fell 10 per cent to Rs 5,799 crore from Rs 6,432 crpre in the corresponding quarter of last fiscal. However, revenue from operations rose to Rs 39,342 crore, jumping 41.14 per ent from Rs 27,874 crore in the year ago quarter.
10:30 am: This Vijay Kedia-backed stock rallied nearly 100% amid market mayhem; what’s next?
A Gujarat-based manufacturer of industrial gears and material handling equipment has been buzzing on Dalal Street due to three reasons.
Firstly, shares of the company have delivered over 96 per cent since October 19, 2021 when the benchmark BSE Sensex scaled its all-time high of 62,245.43. Since then, the index cracked 13.6 per cent till July 15. Secondly, Mumbai-based investor Vijay Kedia upped his stake in the company to 1.85 per cent in the June quarter from 1.9 per cent in the preceding quarter ended March 31. Thirdly, foreign portfolio investors also raised their holdings to 2.14 per cent from 1.71 per cent earlier. The rise in stake by FPI came at the time when they offloaded shares worth Rs 1.07 lakh crore from the equity market during the quarter. This is Elecon Engineering.
Market update
9:27 am: Rupee hits 80 per dollar mark
Rupee falls 7 paise to all-time low of 80.05 against US dollar in early trade.
9:18 am: Sensex falls 187 points to 54,333 and Nifty loses 51 points to 16,227 in early trade.
8:34 am: Expert take
Nagaraj Shetti, Technical Research Analyst, HDFC Securities
"Nifty is currently placed at the key overhead resistance of the previous opening downside gap of June 13 and also last swing high of around 16,200-16,300 levels. A sustainable move above this area could pull Nifty towards further swing highs. The short-term trend of Nifty is positive. Having placed at the edge of upside breakout of the hurdle 16,200-16,300 levels, one may expect further upside in the market for the short term. The next upside levels to be watched around 16,500-16,600 in the near term. Immediate support is placed at 16,200 levels."
8:20 am: SGX Nifty
The Indian market is likely to open lower today as SGX Nifty fell 108 points to 16,181. The Singapore Stock Exchange is considered to be the first indication of the opening of the Indian market.
8:15 am: Market on Monday
Benchmark indices ended higher for the second consecutive session on Monday led by buying in IT, oil and gas and banking shares amid positive global cues. Sensex rallied 760.37 points to settle at 54,521 and Nifty advanced 229.30 points to 16,278.50.
Midcap and small-cap indices rose 340 points and 357 points, respectively. Banking, IT, capital goods and consumer durables shares were the top sectoral gainers, with their BSE indices rising 833 points, 832 points, 540 points and 646 points, respectively.